Summary

Elixir proposes to initiate a shift of $5 million worth of deUSD collateral backing onto the Sei network. This move is intended to support Sei’s native stablecoin, fastUSD, which is fully backed by deUSD, while laying the groundwork for enabling native minting and redemption functionality on Sei. This would also mark the first step in a broader strategy to diversify deUSD collateral across multiple ecosystems.

Background

Elixir is the issuer of deUSD, which fully backs Sei Network’s native stablecoin, fastUSD. fastUSD’s ability to serve as a core stable asset for Sei relies on Elixir’s infrastructure, underwriting, and reserve management via the implementation of deUSD as backing collateral.

Currently, all deUSD collateral resides primarily on Ethereum Mainnet. As Sei grows and fastUSD adoption expands, Elixir is exploring a phased collateral deployment strategy that moves portions of its backing directly into the Sei ecosystem proportional to the TVL on the chain.

Rationale for $5M Initial Deployment

Seeding On-Chain Liquidity: By moving collateral to Sei, Elixir enables fastUSD to be fully collateralized natively within the network.

Activation of Native Minting/Redeeming: Native mint/redeem functionality for deUSD directly on Sei is a key next step. Shifting collateral allows Elixir to safely enable this functionality, simplifying arbitrage, pricing stability, and market efficiency.

Ecosystem Alignment: Sei continues to be one of the most strategically important venues for Elixir’s cross-chain adoption. This deployment strengthens Elixir’s presence within Sei’s stack.

Collateral Diversification: This move also fits into Elixir’s broader risk framework of diversifying deUSD collateral across multiple chains.

Next Steps

Upon community approval, Elixir will initiate the transfer of $5M of collateral into the Sei network

The technical framework for native mint/redemptions will be finalized in parallel, allowing deUSD to function as both an issuer and redemption layer directly on Sei. Future proposals will outline subsequent phases of collateral deployment both on Sei and into other ecosystems.

Governance Request

We invite the Elixir DAO to vote and approve the following:

• Authorize the initial $5M collateral shift onto the Sei Network.
• Approve further technical integration work necessary to enable native mint/redeem functionality for deUSD on Sei